Archipelago?s mining equipment arrives at Toka Tindung site

UK-based mining company Archipelago Resources PLC reported Friday that the first consignment of mining equipment had arrived at the Toka Tindung gold mine site in North Sulawesi.

?The new equipment, all of Caterpillar manufacture, comprises an 85-ton excavator, D8 dozer, large grader and eight 40-ton six wheel drive articulated dump trucks,? Archipelago said, adding that further deliveries of similar equipment would arrive prior to the commencement of mining scheduled for early next year.

The Toka Tindung gold project has a resource of 1.75 million ounces of gold equivalent, of which at least 900,000 ounces will initially be mineable by five open pits. The project is targeted to produce an average 160,000 ounces per annum of gold equivalent over the initial 5 years of the current 6 year mine life commencing in late 2006.

Archipelago also said a debt facility required for project development was currently being finalised by N.M. Rothschild & Sons (Australia) Limited.

Archipelago has awarded a mining contract for the project to PT Leighton Contractors Indonesia.

Archipelago has 85 percent shares in the project. (Robert)